AC, TV, and Home Appliance Prices Set to Rise Up to 8% from October 1 in India

Indian consumers planning to purchase home appliances during the upcoming festive season face higher price tags as leading manufacturers prepare to roll out an industry-wide price revision. Starting October 1, 2026, prices of air conditioners, LED televisions, refrigerators, and washing machines are set to increase by 5% to 8%, driven by surging raw material costs, currency fluctuations, and elevated ocean freight rates.

The upcoming adjustment marks the third round of price hikes in 2026 for India’s consumer durables sector. Major players including Blue Star, Godrej Appliances, Haier, Daikin, Super Plastronics (SPPL), LG, and Bosch Home Comfort (Hitachi) have either confirmed or already initiated revisions ranging from 4% to 10% across different product categories, while brands like Panasonic continue to assess market conditions before finalizing changes.

Escalating Commodity Costs and Geopolitical Pressures

The primary catalyst behind the price revisions is sustained inflation across key industrial raw materials, compounded by geopolitical instability in West Asia and a strengthening US dollar:

• Soaring Copper Prices: Copper, an essential component in air conditioning coils and compressor motors, has seen steep price surges. Industry figures show copper prices climbed from roughly $8,000–$9,000 per metric ton last year to nearly $14,500 per metric ton, representing a 25% to 35% increase. A standard split air conditioner requires between 3 to 4 kilograms of copper.
• Higher Steel, Aluminium, and Crude Derivatives: Steel, aluminium, and petroleum-linked resin plastics used in washing machine drums and refrigerator bodies have risen by 8% to 10% since the previous price adjustment earlier this year.
• Freight and Currency Squeeze: Heightened shipping disruptions have pushed global freight rates higher, while the depreciation of the Indian rupee against the US dollar has inflated import bills for open-cell display panels and compressor components.

Read also: How Festive Sales Can Save Money on Phones and Laptops in 2026

Category-Wise Breakdown: Expected Price Revisions

The price impact varies by product category based on raw material exposure and manufacturing depth:

Appliance Category	Expected Price Hike	Primary Cost Drivers
Room Air Conditioners (RAC)	5% – 8%	Soaring copper tube costs ($14,500/MT), aluminium fins, imported compressors
Deep Freezers & Commercial Units	5% – 8%	Heavy steel chassis, commercial-grade cooling coils, insulation chemicals
Smart LED TVs (Smaller Sizes)	7% – 20%	Open-cell panel procurement costs, freight volatility, display driver ICs
Smart LED TVs (Large Screens)	Up to 10%	Backlight modules, logistics overhead, assembly inputs
Washing Machines	3% – 4%	Stainless steel drums, polypropylene plastics, electric drive motors
Refrigerators	3% – 5%	Thermal insulation foam (crude-linked), sheet metal, copper lines

Industry Leaders on Margins and Inventory Timelines

Executives across the consumer durables industry have emphasized that absorbing higher input costs is no longer sustainable without eroding operating margins:

• Haier India: President NS Satish noted that holding off on price adjustments would result in operating losses. Haier plans a 5% increase on room air conditioners from October 1, alongside a 2% to 3% increase on washing machines and LED TVs. The company anticipates a cumulative 15% price adjustment between October 2026 and January 2027 through phased revisions.
• Godrej Appliances: Kamal Nandi, Business Head and Executive Vice President, described another industry-wide hike of 5% to 7% as inevitable. However, Nandi pointed out that distribution channels hold existing inventory procured before the hike: “Pipelines will last for about a month to one-and-a-half months. Diwali should largely get covered with old-price inventory. Post-Diwali, the new prices will certainly take effect.”
• Blue Star: Managing Director B Thiagarajan confirmed that Blue Star has already adjusted prices on ACs and deep freezers by 5% to 8%. He noted that while cumulative production costs have climbed nearly 15% compared to the previous festive period, GST input credits of roughly 10% will keep the net consumer impact closer to 5%.
• Super Plastronics Pvt Ltd (SPPL): Director Avneet Singh Marwah, whose firm manufactures Thomson, Kodak, and Blaupunkt TVs in India, stated that television prices will rise by roughly 7% after October, cautioning that higher price tags could soften festive buying sentiment.

Impact on Festive Season Demand

The price hikes coincide with the critical festive shopping corridor spanning Onam, Dussehra, and Diwali, a window that traditionally accounts for 30% to 40% of annual sales for Indian consumer durable manufacturers.

While initial festive sales during Onam and Ganesh Chaturthi registered multi-year highs across both urban and rural markets, analysts anticipate mixed consumer responses:

• Pre-Hike Stock Buffer: Consumers shopping early in October may avoid the steepest increases, as e-commerce platforms and retail chains work through older inventory acquired via late-summer pre-booking schemes.
• Financing & Cashback Absorption: Retailers and consumer credit providers are expected to counter the price increases by offering zero-down-payment EMI schemes, longer repayment tenures, and festive bank cashback promotions to keep purchase barriers low for festive shoppers.